The government has today published an update to the UK’s temporary
tariff regime if we leave the EU without a deal.
Following the announcement of our temporary tariff
regime, we had further discussions with industry and consumer
groups. Having listened carefully to their feedback, we will make
3 specific amendments affecting HGVs, bioethanol and clothing.
These are to:
-
lower tariffs on HGVs entering the UK market, striking a
better balance between the needs of British producers and
the SMEs that make up
the UK haulage industry, ensuring that crucial fleet
replacement programmes that help to lower carbon emissions
can continue
-
adjust tariffs on bioethanol to retain support for UK
producers, as the supply of this fuel is important to
critical national infrastructure
-
apply tariffs to additional clothing products to ensure the
preferential access to the UK market currently available to
developing countries (compared to other countries) is
maintained
These 3 specific amendments to the tariff rates published in
March will enable UK supply chains to continue to operate
smoothly and keep prices down for consumers and ensure that we
are fully prepared to leave the EU on 31 October whatever the
circumstances.
Under the temporary tariff, 88% of total imports to the UK by
value would be eligible for tariff free access.
The government would closely monitor the effects of the temporary
tariff regime on the UK economy.
Today we are also announcing an exceptional review process, which
will come into force on exit day, to make changes to the
temporary tariff regime if necessary.
Businesses and consumers will be able to provide feedback on the
impact of the temporary tariff regime to the government through
an online feedback form. The government will then review the
evidence and consider whether any changes need to be made.
A balanced approach
The temporary tariff regime provides a balanced approach on
tariffs for both consumers and producers.
British businesses would not pay tariffs on imports into the UK
for the majority of goods if we leave the EU without an
agreement.
This will mean lower prices in shops for consumers and the
opportunity to source the best goods from around the world. For
example, honey from New Zealand will see its tariff fall from 17%
to zero, grapes from Brazil will reduce from around 15% to zero
and other products, such as tennis rackets and wines will no
longer face a tariff.
The regime would apply for up to 12 months while a full
consultation on a permanent approach to tariffs is undertaken
from January, as part of work to develop the UK’s independent
trade policy. All businesses, interest groups and consumers will
be able to share their views about the permanent tariff regime
with the government through this process.
Trade Policy Minister said:
The UK will be leaving the EU on 31 October and we are working
with businesses to ensure the UK is ready to trade from day
one.
Our temporary tariff regime will support the UK economy as a
whole, helping British businesses to trade and opening up
opportunities for business to import the best goods from around
the world at the best prices for British consumers.
The UK is a free trading nation and British busine
